Integrated Research (IRI) H2 2025 earnings summary

Executive summary

• FY 2025 was marked by a strategic shift to product-led growth, with significant investment in new product development and commercialization, including High-Value Payments, Prognosis Elevate, and the AI-powered Iris.

• Revenue performance remained steady on a pro forma basis, but statutory results declined due to softer renewals and delayed new business.

• The company is transitioning from reliance on contract renewals to a product-led growth strategy, focusing on innovation and AI integration.

Financial highlights

• Statutory revenue for FY 2025 was $68.3 million, down 18% year-over-year; pro forma revenue was $74.3 million, down 1%.

• EBITDA was $15.9 million, down 35%, and net profit after tax was $13.4 million, down 51% compared to the prior year.

• Cash at bank at year-end was $40.6 million, with no debt and net assets exceeding $100 million.

• Fully franked dividend of $0.02 per share, unchanged from the prior year.

• Net cash flow increased by $8.7 million (27%) to $40.6 million, aided by lower payments and non-core business sale proceeds.

Outlook and guidance

• No specific revenue or profit guidance for FY 2026 due to uncertainties in renewals and new product adoption.

• Profitability is expected to decline over the next two to three years as investment in product-led growth accelerates.

• Renewals book for FY 2026 is expected to be softer than FY 2025.

• Medium to long-term sustainable growth targeted through new revenue streams and consumption-based pricing.